Dabbawallas - SCM - Copy

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    Mumbai Dabbawalas

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    Their Principles:

    Work is Worship

    Union is strength

    I trust man only coz I trust in god

    They are called..

    Deccan Mavle

    The Annadattas

    The Dabbawallas

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    History : Started in 1890

    Charitable trust : Registered in 1956

    Avg. Literacy Rate : 8th Grade Schooling

    Employee Strength : 5000 Number of Tiffin's : 2,00,000 Tiffin Boxes

    i.e 4,00,000 transactions every day

    Time taken : 3 hrs Total area coverage : 60 Kms to 70 Kms

    Nutan Mumbai Tiffin Box Suppliers Association

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    Success Factors

    Low cost delivery

    Delivery reliability

    Decentralization

    Perceived equality

    Suburban railway

    network

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    HR Practices they follow

    Flat organization

    No hire and fire rule

    Community based Recruitment

    Sharing common beliefs, values, ethics

    Following of strict dress code

    Loyalty & trust is their monopoly

    Training provided to the new joiners

    Owner + Employee is the designation of each

    Quarterly Meetings to discuss issues

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    Competition: Its difficult to replicate theirsupply chain network

    New entrants: Fast food joints as well asoffice canteens. However, since neither ofthese serve home food, the dabbawallas'core offering remains unchallenged.

    Bargaining power of buyers: Delivery

    rates are so nominal (about Rs 300 permonth) that one simply wouldn't bargain anyfurther.

    Bargaining power of sellers: minimuminfrastructure and practically no technology

    is used, hence they are notdependent on suppliers.

    Threat of a new substitute product orservice: Nosubstitutes to home cookedfood in Indian scenario, hence threat to thedabbawalla service is not an issue at least inthe foreseeable future.

    Porters 5 Force Model

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    Strengths:

    Simplicity in organization with Innovative service

    Coordination, team spirit, & time management

    Low operation cost

    Customer satisfaction Low Attrition Rate

    Weaknesses:

    High dependability onlocal trains

    Funds for the association

    Limited Access to Education

    SWOT Analysis

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    Opportunities

    Wide range publicity

    Operational cost is low

    Catering

    Threats

    Indirect competition is being faced from caterers

    like maharaja community

    Indirect threats from fast foods and hotels Change in timings

    Company transport

    Ticket restaurant

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    Management Principles Derived..

    Team work

    Time management

    Innovation

    Customer relationshipmanagement

    Logistics And Supply

    chain management

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    ORGANISATION STRUCTURE

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    SUPPLY CHAIN

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    Others:

    World record in Best TimeManagementwith Six Sigmarating.

    Name in GUINESS BOOKofWorld Records.

    Registered with Ripley'sbelieve it or not.

    Participated in Deal Ya NoDeal Contest by Sony

    Entertainment Television

    Invited for marriage of Hon.Prince Charles of Englandon 9th April, 2005

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    DISCIPLINE

    No Alcohol Drinking during businesshours

    Wearing White Cap during business

    hoursCarry Identity Cards

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    WHEN THEY CAN DO IT WITHOUTIT

    WHY WE CAN NOT DO BETTER WITH IT?

    We have IT, we have ERP, we are all highlyeducated.we should produce better results

    then uneducated Dabbawala

    SIX SIGMA IS A MUST FOR EVERY

    PROGRESSIVE ORGANIZATIONUse ERP / MIS to measure the defects andimprove quality

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    Thank you